AMD and Intel expected to post fall in profits and sales
Renowned chip makers AMD and Intel are expected to post decline in profits and sales when their will disclose their trading figures next week.
Sunnyvale, Calif.-based AMD, which is scheduled to report quarterly results on 19th of April, is expected to report a profit of 9 cents-a-share on revenue of $1.56 billion. In the year-ago period, AMD posted a profit of 8 cents-a-share on revenue of $1.61 billion.
Intel is expected to report profit of 50 cents-a-share, on revenue of $12.84 billion in the first quarter of this year, down from a profit of 56 cents-a-share on revenue of $12.85 billion, as per a consensus survey carried out by FactSet Research. Intel has plans to post quarterly results 17th of April.
However, Wells Fargo analyst David Wong underlined Intel's power in the corporate market, saying the chip maker's sales could run at around 15 per cent a year over the several years to come.
In a note, Wong wrote, "Server processor demand is driven by many major trends; including ongoing growth of the Internet, cloud computing, computerization of businesses."
Meanwhile, Intel said a total of seventy-five new Ultrabook models are under development and that it believed that prices for ultrabooks will fall as low as $699 in a few months.